For each statement, indicate whether it is true or false, and then explain.

(i) Preferred stocks have features of both bonds and common stocks. Specifically, preferred stocks pay regular and growing dividends.

(ii) The market price of a stock is determined by either the discounted dividend model (if the firm pays dividends) or the corporate valuation model.

(iii) market price = intrinsic value & expected return required rate of return implies the market is not in equilibrium.